Project Highlights

• Project area hosts outcropping mineralised zones which have thus far not been investigated in detail

• License is located adjacent to a historical Skan/CRD deposit and numerous outcropping mineralised gossans with no explanation for source of mineralisation

• No previous exploration targeting blind porphyries

• Well-developed infrastructure with rail, water and power available within the license area

• Targeting blind porphyry, epithermal and skarn style mineralisation

The Zupa project is located in the far west of Serbia at the administrative border with Montenegro. The area has a well-developed road network, with key transport routes to the Serbian-Montenegrin border crossing, as well as, to the smelter located in Bor. The project has generally good access throughout the permit area.

Figure 1 – Zupa project location

Regional Geology

The Zupa project is located in a distinct geological terrane from the Companies other 5 projects. The far western region of Serbia related to the tenure is dominated by an Ophiolite Belt, manifest as outcropping Serpentinite in the northeast. A tectonic margin is represented by a buried structural corridor at A-A’(map below), west of which the terrane is known as the East Bosnian-Dormitor Block (Jelenkovic et al., 2008). Together these two domains form the Dinaric Metallogenic Province (DMP).

The East Bosnian-Dormitor Block comprises Triassic sedimentary rocks, limestones, and volcanics (Jelenkovic et al., 2008), and, although these differ in age to the Bor Metallogenic Zone in the east, they are considered prospective for analogous deposit styles.

Zupa Project Geology

The Zupa project is dominated by Carboniferous-age meta-sandstones in structural and unconformable contact with Triassic limestones and volcanics. A NW striking structural corridor occurs in the western portion of the project, potentially analogous to the structure just outside the project to the northeast, and labelled as A-A’ in the map below. The western structure occurs proximal to a mapped area of pyritic alteration, indicative of hydrothermal alteration. Note that this is also observed in the A-A’ structure, which also controls skarn-type (Cu-Au-Zn-Pb) mineralization at the Cadinje deposit to the north of the Company’s Zupa project.

Figure 2 – Zupa license and geology

Figure 3 – Schematic representation of the proposed target setting on the Zupa project. The company postulates that a blind intrusive system is driving the surficial mineralisation within the whole district, including the Cadinje polymetallic Skarn-CRD deposit located near the Zupa license

Figure 4 - Massive sulphide (pyrite-chalcopyrite) sample located on the northeastboundary of the Zupa licenseproject near the Cadinje deposi